Markets are taking a breath right now

20 June, 2018

Markets are taking a breath right now and retracing some of the moves over the past number of sessions. Whether this turns into a broader rally or the selloff is resumed remains to be seen. Stock markets are higher after support was found in the European session yesterday and US and Asian traders built on the foundations of that support.

Asian stock markets (ex Japan) experienced big declines on trade worries on Tuesday losing 2.1%. Shanghai Composite Index plummeted by 3.8%. Today Chinese stock tries to find support in 10-months lows area.

USDJPY is back above 110.000 while AUDUSD is trading around the 0.74000 level from its lows of 0.73470. Fundamentally very little has changed but the economic calendar is light. OPEC technical group meetings yesterday failed to reach agreements on production levels ahead of higher level OPEC meeting tomorrow. US WTI Oil has moved back above $65.00.

US Housing Starts (MoM) (May) were 1.350M against an expected 1.317M from a previous number of 1.287M which was revised down slightly to 1.286M. Building Permits (MoM) (May) were 1.301M against an expected 1.350M with the prior reading of 1.352M which was revised up to 1.364M. The data was mixed with housing starts beating expectations and building permits failing to meet them. These data points have been recovering since hitting lows in 2009 after the financial crisis of 0.46M and 0.49M respectively. The readings in February were the highest since those lows in both cases and these levels have yet to be matched or surpassed. GBPUSDmoved higher from 1.31589 to 1.31795 following this data release.

New Zealand Westpac Consumer Survey (Q2) was released and came in at 108.6 with a prior number of 111.2 recorded. While the data missed expectations there is a range between 106.0 and 113.4 that these reading are falling within. NZDUSD fell from 0.68999 to 0.68879 after this data release.


Source link  
Markets recede from the recent highs

A strong Nonfarm Payrolls caused pressure on the stock markets, reducing the chances of the interest rates lowering by the Fed in the upcoming months...

Gold resumes rally, pushing past $1400

Gold prices resumed a push higher on Monday, as flows into the precious metal continued on improved prospects for easier monetary policy from...

Gold rises as markets slip

Market caution continues to support gold. Quotes of this metal rose to $1337, repeatedly trying to push above this year highs at the 1340-1360 area...


Trump says Brexit should happen

President Donald Trump promised the U.K. a "phenomenal trade deal" Tuesday, on the second day of his state visit to Britain...

Euro and Gold instead of Dollar

Gold rose on Monday to the highest levels since February, reaching $1327 per ounce. In the first hours of the Tuesday trading session, there...

Markets recover after the drop

The markets decline on investors' fears that trade conflicts will drag on and slow down demand, and this dynamic coincided with breaking through important...


Markets pressured by Huawei problem

Alphabet and some other American IT companies have suspended business with Huawei, which is one of the first examples of major consequences for...

The climate is changing rapidly

British people need to fly less, drive electric cars, eat little meat and turn their home thermostats down to 19 degrees Celsius (66 Fahrenheit) in order to rein...

Chinese stocks saw their worst week

Chinese stocks have taken investors on a ride this year. Shanghai and Shenzhen have been the best performing global markets this year, with the Shanghai...

  


Share it on:   or